Generac Holdings designs, manufactures, and markets power generation equipment and other engine powered products for the residential, light commercial, industrial, oil and gas, and construction markets in the United States, Canada, and internationally. The company was founded in 1959 and is based in Waukesha, Wisconsin.
GNRC Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for GNRC, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Generac Holdings Inc ranked in the 22th percentile in terms of potential gain offered. We should note, though, that the most conservative analysis suggests this stock will yield negative results -- and thus may be a potential short opportunity. The most interesting components of our discounted cash flow analysis for Generac Holdings Inc ended up being:
The company's balance sheet shows it gets 93% of its capital from equity, and 7% of its capital from debt. Notably, its equity weight is greater than 84.06% of US equities in the Industrials sector yielding a positive free cash flow.
The business' balance sheet suggests that 7% of the company's capital is sourced from debt; this is greater than only 19.43% of the free cash flow producing stocks we're observing.
GNRC's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than 40.03% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
CLCT, GGG, PNR, BDC, and CNI can be thought of as valuation peers to GNRC, in the sense that they are in the Industrials sector and have a similar price forecast based on DCF valuation.
LOS ANGELES, United States: The report is an all-inclusive research study of the global Power Generator Product market taking into account the growth factors, recent trends, developments, opportunities, and competitive landscape. The market analysts and researchers have done extensive analysis
Generac ([[GNRC]] +5.3%) jumps to within $3 of its all-time high after winning bullish Wall Street commentary citing potential upside to near-term results from recent storms and blackouts in California."We size the incremental opportunity from 3Q storms at $80M-plus of revenue, or $0.40/share of earnings," KeyBanc analyst Jeffrey Hammond writes,...
DR Power Equipment, a division of Generac Holdings (GNRC), has closed a purchase agreement to acquire the assets of Mean Green Products, a battery powered, commercial grade turf care manufacturer, headquartered in Ross, Ohio.DR Power Equipment designs and manufactures a full line of professional-grade, outdoor power equipment. Mean Green Products...